Forest peace deal study flawed: Opposition

Updated
Thu 28 Feb 2013, 8:24 PM AEDT

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Native forest jobs shrink

7pm TV News TAS

A long-awaited socio-economic study into the impact of implementing Tasmania's forest peace deal is being viewed with scepticism by the Opposition and business lobby, but the forest union says it proves the agreement will save jobs.

The report commissioned by the Federal Government, and co-authored by a director of Forestry Tasmania, predicts a further 500 forest industry jobs will be lost if the deal to end most native forest logging does not become law.

The report was released yesterday by the Federal Regional Development Minister, Simon Crean, who welcomed it as proof the agreement will work.

"I think it's a wake-up call for the industry and it's a significant turning point.

"It could be a watershed," the Minister said.

The report says direct and indirect job losses will amount to more than 400 if the Legislative Council passes legislation needed to enforce the deal.

But if the laws are not passed, the figure swells to more than 1,900, including about 680 forest jobs, taking in the closure of Ta Ann's two mills.

The Opposition's forestry spokesman, Peter Gutwein, says this scenario is flawed as it assumes that logging will not continue outside the 570,000 hectares of native forest under contention.

"Absolutely no doubt that the worst case scenario is a doomsday-based scenario.